Friday, June 18, 2010

A Gold & Silver Basket

In late 2009 I wrote a piece on Gold, highlighting two promising gold stocks, ANV and SWC:  

Since that write-up, ANV went from $9 to over $20, while SWC went from $7 to over $13.

I wasn't utilizing the Trend Models back then, not like I am now, but those two stocks have clearly been huge winners in mega long term trends.   We know from the Trend Tables that gold and silver trend well, especially in longer-term models.  We can glean from the performance of these two stocks that applying trend analysis to individual gold and silver stocks can produce some nicely out sized gains.

 In January, 2009 I wrote up TGB @ $1.  It ran to over $6:

The more I think about a Gold & Silver Basket to complement the Trend Models, the more appealing the idea becomes to me.  While waiting for Armageddon to arrive to the stock market, this could very well be an excellent sector to generate solid returns.  I hope to get started on the basket in this coming subscriber Weekend Update.



Anonymous said...

When you mentioned TGB at that time was at ground level now with ANV and SWC perhaps we are at the pinnacle

A said...

You make a very good point. I am bothered by all of the bullish sentiment surrounding this move up in gold, but for that matter, so are all the other gold bulls. So maybe its different this time?

The whole premise behind trend following is to eliminate everything from consideration except for current price and current price trends. That is what my ATR-based Trend Model does and it has earned our respect time and time again.

The risk here is defined, gold cannot drop too far without the models flipping and we are out. Defined risk, unlimited reward. I can live with that.


ken said...

two gold and copper micros if you want to take a look WOLV and KATX

Anonymous said...

Basis of teachings:

George Gurdjieff's (1866-1949) teachings mainly focused on the acquiring of the ability to constantly perform conscious labors and intentional suffering.

Conscious Labors - This is a labor where the person who is performing the act is not absentminded during his act, but rather is "remembering himself" the entire time and what he is doing; and at the same time he is striving to perform the act more efficiently.

Intentional suffering - This is the act of struggling against the desires of the physical body such as daydreaming, pleasure, food (in terms of eating for reasons other than real hunger), & etc.

Gurdjieff claimed that these two acts were the basis of all evolution of man.

Astrud Gilberto - Canto de Ossanha (Let Go)

memores estote uxoris Loth
quicumque quaesierit animam suam salvare perdet illam et qui perdiderit illam vivificabit eam

rob g said...

take a look at silvercrest mines slv.v about to go into production,

also levon resources lvn.v they have been drilling on here mexico property with stellar results every time, this could be one of the biggest finds out of mexico in years maybe even of all time.

rob g